AI warns govt of loan default consequences

Air India has warned the Prime Minister’s workplace (PMO) and also the finance ministry that the country’s sovereign rating could also be hit because the airline is on the brink of defaulting on interest payments on foreign loans of Rs fifteen,000 crore. The loans are backed by a government guarantee.

The state-owned airline had taken these loans to part-fund its Rs twenty two,000-crore aircraft acquisition programme. The banks concerned embody Citibank, customary Chartered, Deutsche Bank, J P Morgan and KFW.

In a communication to PMO and also the finance ministry sent many days ago, the Air India management pegged the overdue quantity at Rs four,489 crore, as well as payments to grease corporations, airport operators, vendors and workers, besides interest on operating capital loans.

 

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Foreigners allowed to invest in mutual funds

Cap of $10 billion proposed; Sebi to notify final rules by August one.

In an endeavor to manage the volatile capital flows, the finance ministry these days allowed foreign people to take a position up to $10 billion in domestic mutual funds.

The Securities and Exchange Board of India (Sebi) can notify the principles by August one. The move was announced within the Budget.

At present, besides resident Indians, solely foreign institutional investors (FIIs), sub-accounts registered with Sebi and non-resident Indians will invest in mutual funds in India.

The move can offer mutual funds access to additional foreign cash. The fund trade, however, reacted with caution and said it'd watch for the ultimate tips.

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Nokia introduces Mobile Money on all devices

The Mobile cash service permits users to avail of multiple monetary services functions like account management, with detailed balance info, tracking and details of every transaction, payment of bills, cash transfer, money withdrawal from business correspondents cash-out retailers (registered Nokia stores) and automatic teller machines and prepaid SIM top-ups.

Global handset maker Nokia on Monday said it had started embedding the Mobile cash consumer service in all its devices in India. The service is offered not solely on high-end Symbian smartphone devices, however conjointly on Nokia’s Series forty feature phones and Series thirty entry level devices. The service is supported by keyboard devices, bit devices and a mix of the 2.

The Mobile cash service provides access to monetary services to the unbanked and under-banked population through mobile phones, ‘empowering individuals and their businesses’. The service eliminates the necessity for intermediaries. In its functions, the service is integrated with the phone and different phone services. for instance, the choice of the recipient during a send-money transaction is directly integrated with the phone book. Sending cash therefore becomes as easy as sending a message or creating a phone decision. to create the service less complicated, the user-interface is decoupled and separated from knowledge transport. Therefore, the user wouldn't ought to recognize that transport (SMS, GPRS or wifi) is in use throughout the transaction.

People with Nokia phones while not the Mobile cash consumer, will merely visit a Nokia cash agent and obtain the appliance loaded on to their phones. they will conjointly use the service through text messages, that don't need a consumer.

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